InGovern, others approach Sebi; seek forensic audit of Future Group firms

Small shareholders and proxy advisory firm InGovern have written to the Securities Exchange Board of India (Sebi) asking it to order a forensic audit of Future Group companies, including Future Retail, because of the change of directorship, and track all related-party transactions of the company.

In its letter, InGovern said many directors and key management personnel have resigned in the past year. 

In a separate letter to banks and the Reserve Bank of India (RBI), the proxy advisory firm said creditors are initiating insolvency proceedings without first securing Future Group’s assets, which are being alienated. This refers to 947 stores that Reliance Industries took over from the group in February.

The letter further states, “There is an urgent need for creditors to seek reversal of the takeover of the assets and a forensic audit of all group companies.”